Shares of Lucira Health (LHDX) opened around 38% higher today after the medical technology company announced that its COVID-19 test kit is accessible on Amazon.com.
The test kit provides a PCR-quality test result in less than 30 minutes, from the comfort of one’s home. Furthermore, users of the test can receive a free, text-based test result on their phones which can be used for work or travel.
Lucira Health CEO Erik Engelson said, “We are excited to offer the first at-home COVID-19 self-test to provide an on-the-spot result with molecular accuracy available to millions of U.S. customers on Amazon.” (See Lucira Health stock analysis on TipRanks)
The test kit is also available over the counter in the U.S.
While the laboratory tests that are currently available take between 2 and 14 days to generate results, Lucira’s test kits provided results in less than 2 minutes to all of its clinical trial participants.
Last month, Bank of America analyst Derik De Bruin downgraded the stock to Sell from Buy with a $9 price target (38.5% upside potential).
De Bruin pointed out that the demand for at-home testing for COVID-19 has dwindled, owing to the availability of multiple vaccines.
LifeSci Capital analyst David Sherman, on the other hand, reiterated a Buy rating on the stock with a $29 price target (346.2% upside potential).
Consensus on the Street is that Lucira Health is a Hold, based on 1 Buy, 1 Hold, and 1 Sell. The average analyst price target of $19 implies 192.3% potential upside.